The question of who bears responsibility for Washington Mutual's legal liabilities is taking on increasing urgency as J.P. Morgan negotiates a pact with the Justice Department. Ryan Tracy joins MoneyBeat. Photo: Getty Images.

This transcript has been automatically generated and may not be 100% accurate.

... I ... but the MoneyBeat legacy of this frenzied negotiations during the financial havoc of September two thousand and eight ... is still being felt today ... we see in the standoff between J P Molin regulators that the bank tries to negotiate down the dune of the likely multibillion-dollar fine ... the lead to issue its mores bones before the crisis ... Ryan Tracy joins us from Washington with the cells ... on how some ambiguities in settlement agreement to buy filed in the Washington Mutual five years ago that ... becoming a real sticking point ... to one in line ... the morning ... does a complex that fascinating story ... tell us what's a stake in focus through with a conflict lots ... sure so basically there is that when J P Morgan bought Washington Mutual back into thousandeight when that bank was about to fail ... there was a pot of money set aside called the receivership it got about two point seven billion dollars in the ... in the dispute is whether J P Morgan can go back and ... get some of that money to pay ... claims liabilities that were incurred by watching Washington Mutual before J P Morgan bought that ... the federal regulators don't believe JPMorgan should be able to do that the bank thinks it does and we've got quite illegal Corning is not ... write it in with this um ... to kill wedding in agreement about who should take responsibility for certain liabilities ... Ms seems to me that I'm ... in a ... perhaps assume was show up in hiding stall or is it that Cenovus deliberately ambiguous ... well there's no question that the deal had been quickly there was a fear that they were Deron Washington Mutual AF ... them regulators didn't find someone to buy it ... now whether or not the case contributed to the deal being and did did the contract being ambiguous I guess ... it depends on whom you ... whom you ask that question ... but certainly in both sides came out of the deal thinking that ... they had gotten what they wanted ... and then this deal is I'm usually not to compare it to contracts related to other failed banks ... they're much more specific ... about who was liable for what ... and and so ... you know for for whatever reason why there was something in certain last-minute or or or last minute change would be no JPMorgan did get one last minute change for example ... that of course the regulators don't think changes the liability situation ... as those on a play on the courts and it's it's become a big sticking point is part of these negotiations over the ... the big multibillion-dollar settlement of right we've all been hearing about the path of NYC's you I did I get to negotiate with the police officer to walk the fine for now since being ... in violation is likely to be ... it's good if it started with the bank is sit down with some these big ideas that I'd take it the one taken will then ... have in their back pocket is the threat that they let you take just a cotton argued that I've got the high ground ... is that Willie is that we may end up going ... well say I you know that ... certainly if JPMorgan were to settle some ... of these large allegations related to mortgage backed mortgage backed securities and then ... appealed to ... I'd you know essentially get off the hook from pain and five buying by going back and typing this ... receivership time pot of money has called ... then than I would play very well in the public side I think you're you're going to see that ... the government ago shooters are are are in the streets will be seen so far you know ... according to people familiar with the talks they've been very insistent on ... one JPMorgan not be allowed to do that so I'm ... you know ... whether or not that's ... undermines the entire settlement I think isn't totally open question right now there's obviously been a lot of what motivation ... and JPMorgan's to settle these things and put them behind it so ... I think we'll see some resolution but not to be interesting to add to the court of public opinion is important as the bizarre because it saves ... prime thank you so much heat I ...